CASE 1

Introduction

Welcome to brand new study blog about HUMAN RESOURCE MANAGEMENT. In this blog I will be exploring magical world of basic of HRM. Firstly, What is HRM? What do we know about the field? I have heard this magical word for many times over the years, and I thought I had an idea what it means. At the latest today, I learned that what ever I thought I knew about it, well I can throw it away to trash can, and start to learn it from scratch by heart. Because whatever I thought I knew, is nearly not enough to cover all the information it holds.

In today's lecture, we gently touched the surface of HRM and meaning behind it. Throughout of this study blog I will be step-by-step explore HRM with several examples, studies and theories to help me and you, whoever is reading this blog to understand more the field.

Shortly HRM is process of hiring right employees to right tasks within the company. It also includes developing current employees so that they become more valuable to the company or organization they are working for. HRM includes more or less following (1);

-        Conducting work analyses

-        Planning needs of employees,

-        Recruiting right people to important jobs

-        Managing salaries, 

-        Providing benefits and incentives. 

-        Orienting and training

-        Evaluating performance in workplace

-        Resolving disputes

-        Communicating with all employees at all levels

HR is about people and employees in all perspective.

Dave Ulrich's model of HR

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CASE 1; Very first case of HRM-course, Case Aberchrombie & Fitch

Are very first case is about the story of a woman who worked for Abercrombie & Fitch in the past, and their recruitment standards and channels. (2). After reading her story, it is truly saddening how the world and recruitment method of A&F was so unethical and unorthodox. According to Huffington post blog written by Alicia Cook, A&F announced to stop hiring staff based on their “body type or physical attractiveness”. Their sales representative would be called “models” instead of proper job title. According to blog post, their infamous hiring and look policy included hiring mostly white males and females with certain looks and pushing their “models” to recruit more certain looking people. In the checklist handed to them, in the bottom was a different list for minorities they would need to hire occasionally to avoid lawsuit for their hiring criteria’s. Alicia Cook’s story took place over 10 year’s ago, before down of era of smartphones hadn’t start yet. Behaviour of A&F back then can no longer be tolerated for numerous lawsuits and discrimination charges against the company. A&F needed to take new direction towards more diversified its employee selection.

This remind me of a case that happened in Finland over two years ago. Government owned alcohol beverages selling company was sued for discrimination because of firing employee with too long nails. (3) Also another story from company called Hartwall, who fired 25 employees, only to hire same amount of employees with “0”-hour contract. (4) 

Recruitment

Recruitment doesn't always mean recruiting externally new person to company, it also means internal recruitment, for example it can be internal transfer, promotions as well training old staff for ne tasks.

Well then, how to avoid what A&F did,(discrimination behaviour)? There is many different theories for successful hiring, one of them is by excluding discriminative questions in application forms and job interviews. Guideline is to ask questions related to job not person and their personal life. The problem is not the question itself, but the way it is asked.

Examples;

• it is ok to ask applicant’s name, but it is not necessary to ask their maiden name. Emplyoer do not need that information, and it is not relevant

• It is ok to ask whether applicant is in legal age or not, but  it is not ok to ask directly their age or when they have graduated from school.

•  It is ok to ask them to take physical exam if the nature of job requires so, but it is not ok to ask whether they physical disabilities, defects, or handicaps.

• It is ok to ask if applicant have been convicted for crime, but it is not ok to ask if they have been arrested. (5)

These are just few to mention. It is not about the question, but more about how to ask that question, and what kind of valuable information it will provide employers. Of course in some related cases, it is worrisome for employer, how is single mom with 5 kids age of 2-10, able to fit and balance business life with personal life. But if she has criteria and enough energy to come back to work life, I don’t see why not?

Conclusion

Lately A&F have been a lot in publicity, not in positive way, but more in for all lawsuits they have been receiving for their unethical way of hiring personal to their stores. In interview Even Michael Jeffries, the CEO of company was practising publicly humiliating oversized people by blurting out that all of their business was built around sex appeal; “It’s almost everything. That’s why we hire good-looking people in our stores. Because good-looking people attract other good-looking people, and we want to market to cool, good-looking people. We don’t market to anyone other than that,” (6). To be said nowadays equality between people is more advanced than ever before, with that said people are starting to support each other by boycotting certain business. Since media started to question marketing of A&F, people have been more aware of discrimination they have practices for far too long. Result of uprising against A&F, their Sales/revenue have dropped significantly. (figure 2.)

 

Not only their sale have dropped tremendously, they have had to close some of their stores as well. Aside for electing Donald Trump as President of USA, nowadays equality of rights and environmental thinking are trending. More and more companies, are marketing themselves as diversified company with employees from different countries, religions & cultures. Some of the companies are relaying not only to what mentioned above, but also to environmental thinking for example, if you buy 2 shirts, we will plant one tree. Some of the companies are; Etnies, Woodchuck, wewood and trinity oaks. ( 8.)

Sources

1. http://www.businessdictionary.com/definition/human-resource-management-HRM.html 
2. http://www.huffingtonpost.com/Alicia-cook/what-it-was-really-like-working-as-an-abercrombie-model_b_7154042.html
3. http://www.mtv.fi/uutiset/kotimaa/artikkeli/pitka-oikeustaisto-jaana-54-sai-potkut-alkosta-liian-pitkien-kynsien-vuoksi-ne-ovat-osa-persoonaani/6269580 
4. http://yle.fi/uutiset/3-9330899
5. Managing Human Resource, Gomez-Mejia, L.R., Balkin, D.B. and Cardy, R.L. 2016 E-book pages 135-136
6. http://www.businessinsider.com/abercrombie-and-fitch-worst-controversies-2013-8?r=US&IR=T&IR=T#abercrombie-doesnt-sell-clothes-for-large-women-1
7. http://fortune.com/2016/08/30/abercrombie-fitch-comeback/
8. https://selfecogarden.com/blogs/garden-blog/115726275-10-companies-that-plant-a-tree-for-every-product-you-buy

PICTURES;   https://fi.pinterest.com/pin/159948224243781901/ (picture)